Council votes 5-4 to boost streetcar spending

Jun. 24, 2013

Councilwoman Yvette Simpson (right) speaks in favor of spending additional money on the streetcar project during a Monday meeting of the Budget & Finance Committee at City Hall. / The Enquirer/Gary Landers

Cincinnati’s controversial streetcar project won a slim 5-4 victory when members of council voted to add $17.4 million to its budget.

Alongside this vote came added accountability and transparancy to the project. Vice Mayor Roxanne Qualls made a motion asking the administration to provide council — and subsequently, the public — with an updated timeline for the project, monthly progress reports and an operating plan than outlines costs, among others.

Council also asked the administration to provide an assessment of project staffing and personnel to increase accountability. That motion passed 5-3, with Pamula Thomas abstaining.

The $17.4 was needed to cover the gap between the originally expected $44 million construction cost and Messer Construction's almost $71 million bid. The bid has since expired, but now that City Manager Milton Dohoney has councils commitment he can begin negotiations for another bid.

He does not know how much higher the bid will be.

The project is now likely to receive the $5 million promised by the U.S. Department of Transportation, as the stipulation was that the city needed to come up with $17.4 million in non-federal funds to receive it.

The $5 million will be used to fund aspects of the project once pulled as cost-savings measures — such as the construction of a wall around power substations and restoring a passenger information system. Anything left over will go towards the contingency fund in case the project incurs any more unexpected costs.

“It’s difficult for me to turn my back on a project where I live, when people where I don’t live have faith in it,” said Councilmember Wendell Young, referencing the U.S. Department of Transportation’s final $5 million boost.

Monday’s meeting brought the streetcar debate back to its roots, as opponents saw this as an opportunity to highlight the uncertainty in costs associated with moving forward with the project and proponents argued future returns of investment makes it worthwhile.

“One thing you’ve got to have to be a streetcar supporter is vision,” said Councilmember Laure Quinlivan. “The streetcar is a key part of achieving our full potential.”

She and other supporters pointed to a projected three-to-one return on investment due to the expectation that it will spur private development along the route.

“Now is our time for taking a step forward instead of limping backward,” Qualls said. She added that the three-to-one investment return estimation is modest.